AUSTRALIA’S resource industry employer group AMMA is calling for superannuation to be removed from industrial awards as retail and industry superannuation funds continue to battle over which should be the default for award-covered employees.

“This has degenerated into a complete mess,” says AMMA executive director, policy and public affairs, Scott Barklamb.

“Australia’s retail superannuation funds and industry superannuation funds are at war over the billions in contributions from working Australians who do not choose where their superannuation should be directed.”

AMMA says the review of which superannuation funds are named in industrial awards, designed by Julia Gillard and implemented by Bill Shorten, has become farcical, with two of the three superannuation experts appointed by Labor being disqualified or resigning due to potential conflicts of interest.

It has also placed the President of the Fair Work Commission in a very difficult position and led to his disqualification from heading the review by the Federal Court.

“The Abbott government should fix the mess it has been bequeathed by removing superannuation from the industrial awards system altogether,” Mr Barklamb says.

“Superannuation became a legislated entitlement more than 20 years ago and the My Super products now offer low-cost default fund options with no commission fees.

“There is simply no longer any need for awards to mandate the funds into which employee contributions should be made.

“We urge the government to review recent events in this area, including the Federal Court decision and yesterday’s response from the Fair Work Commission, and to commence a process to remove superannuation from the matters regulated by modern awards.

“The government should either introduce amending legislation or commence an independent expert inquiry, external to the Fair Work Commission, to consider what if any case there is for superannuation contributions to continue to be regulated by awards.

“Those who advocate for regulating default super through awards should be challenged on why this should continue.

“We particularly extend this invitation to the ACTU, union officials, and others who sit on the boards of industry superannuation funds.”

www.amma.org.au

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PEAK retail industry body the Australian Retailers Association (ARA) is severely disappointed with the Minimum Wage Panel’s decision today to increase the national minimum wage by 3 percent.

ARA Executive Director Russell Zimmerman said this increase, which takes effect from the first full pay period after 1 July 2014, will increase the full time Retail Employee Level 1 rate to $703.90 per week (or $18.52 per hour), thereby adding to the stress retailers are already facing in the current economic climate.

“This minimum wage increase, together with sluggish retail trade figures and penalty rate rises under Fair Work Commission awards, will only cause further damage to retailers who are struggling to keep their heads above water as it is. Tuesday 1 July 2014 will see the last transition of penalty rates – meaning Sunday rates will increase to double time and Saturday rates will increase to time and a half.

“With most small to medium retailers being reliant on a minimum wage workforce under the General Retail Award, any move to increase wages within the sector during this time of low consumer confidence and low growth will only further job losses currently underway within the sector – a very distressing truth for retailers.

“The ARA advocated before the tribunal a realistic and manageable minimum wage increase of no more than $8.50 or 1.3 percent in the 2014 Minimum Wage Review.

“The retail industry makes a significant contribution to the overall state of the national economy and employs more people (including more juniors) in Australia than any other private sector industry. The retail industry is more reliant on pay scales than any other industry, and also suffers a higher disproportionate effect in minimum wage increases than other industries due to deregulated trading hours and penalties across all retail awards.

“In response to ACTU Secretary Dave Oliver’s comments earlier regarding ‘productivity has been growing at its fastest pace in over the decade’ – this is simply incorrect.  Productivity growth over the year to the March quarter was 2.7 percent, and there have been many periods in recent years when it has been higher and sometimes lower. Productivity growth of 2.7 percent is simply in line with the average pace of expansion seen over the last five years.

“Earlier this year the ARA also condemned the FWC’s inexplicable decision to abolish junior wage rates for 20 year old employees. Retailers are still fuming over this decision which has certainly changed the face of employment for junior employees at a time when youth unemployment has never been higher. 

“For retailers to now be slammed with further costs through an increase to the minimum wage is simply unwarranted, and sadly, we expect to see many retail businesses reduce their staff further this year as a result.

"Today’s decision is not sympathetic to the small business economy which it bluntly attacks,” Mr Zimmerman said.

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Since 1903, the Australian Retailers Association (ARA) has been the peak industry body representing Australia’s $265 billion retail sector, which employs over 1.2 million people. The ARA ensures retail success by informing, protecting, advocating, educating and saving money for its 5,000 independent and national retail members throughout Australia.

Visit www.retail.org.au or call 1300 368 041.

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VICTORIA's peak business body today urged Parliament to quickly resolve the current dispute and get back to the matters of vital importance to the state.

"Parliamentarians must focus on managing the business of parliament and debating important issues crucial to the financial future of Victoria,” says VECCI Chief Executive Mark Stone.

“Most importantly they must pass the budget.

"Both parties must resolve the current dispute as a matter of urgency.

"The government has delivered a very good budget and business wants it to be passed and implemented.

“We support the fiscal management, the emphasis on infrastructure including Stage 2 of the East West Link, Melbourne Rail Link and the payroll tax rate reduction.

"However the current uncertainty raises questions for Australian and international businesses looking to invest in Victoria. The budget must be passed so Victoria remains open for business.

"In the coming months we expect both parties to put forward their priorities so Victorian business, and the community, can make a decision on how they will vote at the November election.”

VECCI's recently released Taking Care of Business state election agenda urges both major parties to commit to VECCI’s program to grow the Victorian economy.

"We are calling on the next government, regardless of party, to commit to our four key priorities: jobs, infrastructure, skills and international engagement,” says Mr Stone.

“VECCI has detailed its key recommendations across these four priorities and is seeking support for our recommendations.

"We hope the election brings a government with a clear majority and policies that drive greater investment confidence and business activity.”

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The Victorian Employers' Chamber of Commerce and Industry (VECCI) is the peak body for employers in Victoria, informing and servicing more than 15,000 members, customers and clients around the state.

www.vecci.org.au

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CHIEF Executive Mark Stone says VECCI does not dispute that those on the minimum wage deserve a pay increase but the $18.70 per week increase is significantly in excess of VECCI’s recommendation of an $8.50 per week maximum. 

"Despite acknowledging the weak growth in hours worked, continuing high youth unemployment and a falling full-time employment to population ratio, the Fair Work Commission has again ordered a minimum wage increase in excess of the rate of inflation," Mr Stone said.

"At the end of the day, business foots the bill and this 3% increase must be paid in addition to the further 0.25% increase in the Superannuation Guarantee Levy from 1 July 2014, putting further pressure on those Victorian businesses already facing increased costs of doing business and challenging economic conditions.

"VECCI is disappointed that there was no deferral of the increase in whole or in part for some struggling sectors of the economy such as retail, tourism, restaurants and catering, hospitality and manufacturing.

"Setting the minimum wage is a balancing act but the result must not end up being a barrier for entry into the employment market that discourages employers from taking on people or places existing jobs at risk," he said.

"Higher rates of pay do no good if the jobs that pay them disappear and recruitment opportunities, particularly for young people, dry up."

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The Victorian Employers' Chamber of Commerce and Industry (VECCI) is the peak body for employers in Victoria, informing and servicing more than 15,000 members, customers and clients around the state.

www.vecci.org.au

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PEAK retail industry body the Australian Retailers Association (ARA) said the Reserve Bank of Australia’s (RBA) decision to keep the cash rate oh hold at 2.5 percent for the eighth consecutive month, although expected, was disappointing for retailers.

ARA Executive Director Russell Zimmerman said  today’s decision does little to ease the concerns that were raised after the Federal Budget announcement – including the impact that increased taxes will have on consumer spending and confidence.

“What we need to see now is every effort made not to harm consumer confidence further with a clear long term plan from Government to support consumers through future tax cuts and short term support from agencies such as the RBA.

“The ARA urges the RBA to cut interest rates in July given the concerns raised following the Federal Budget. It is also obvious, after todays’ retail trade results, that retailers are suffering after experiencing unseasonabaly warm weather in April and May.

“It’s being felt across the industry, from those selling winter coats and boots, to kitchenware products, such as soup makers and crockpots, electric blankets and heaters. Even if we get a sharp cold spell, it is now getting almost too late to purchase winter products.

“Interest rates must be reduced in order to aid in the growth for retailers and especially the SME sector,” Mr Zimmerman said.

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Since 1903, the Australian Retailers Association (ARA) has been the peak industry body representing Australia’s $265 billion retail sector, which employs over 1.2 million people. The ARA ensures retail success by informing, protecting, advocating, educating and saving money for its 5,000 independent and national retail members throughout Australia.

Visit www.retail.org.au or call 1300 368 041.

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PEAK retail industry body the Australian Retailers Association (ARA) congratulates Yasmin King on her new role as Chief Executive Officer of Service Skills Australia (SSA) and thanks predecessor Jeanette Allen for her 10 years of outstanding service to SSA and the retail industry.

ARA Executive Director Russell Zimmerman said the ARA and ARA Retail Institute have always had a strong working relationship with Jeanette Allen during her time as CEO of SSA.

“On behalf of the ARA and the retail industry, I would like to wish Ms Allen all the best for her future endeavours.

“The ARA and Retail Institute have also maintained a strong working relationship with Yasmin King during her time as Small Business Commissioner for NSW.

“We congratulate Ms King on her new appointment and look forward to continuing a long and fruitful relationship once her new role officially commences on 17 June,” Mr Zimmerman said.

Since 1903, the Australian Retailers Association (ARA) has been the peak industry body representing Australia’s $265 billion retail sector, which employs over 1.2 million people. The ARA ensures retail success by informing, protecting, advocating, educating and saving money for its 5,000 independent and national retail members throughout Australia.

Visit www.retail.org.au or call 1300 368 041.

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THE construction industry employs almost 1 million Australians, or 8.6 per cent of all workers, which is the third largest workforce behind only the retail trade and health care industries.*

The industry is continuously expanding, and with the announcement of the upcoming road and rail projects, the Napthine Government has projected that 9,900* construction jobs in and around Melbourne will be created.

The Construction and Property Services Careers Hub will assist career seekers wanting to get a start in the industry and workers keen to advance or expand their skills, with information and guidance on current job opportunities, educational options for career transition and training and up-skilling initiatives.

With the imminent closure of the major automotive manufacturing facilities and the associated automotive parts manufacturers, many Victorian workers will be displaced. This group will be seeking advice to “reinvent their career”.

These workers may also be looking to the construction and property services sectors to provide a new career pathway.

The Construction and Property Services Industry Skills Council (CPSISC), Master Builders Association Victoria, Association of Wall and Ceiling Industries Victoria, Complex Training Academy (representing the security industry), Real Estate Institute of Victoria, Trade Institute of Victoria and the National Association of Women in Construction will come together to form the hub.

“People attending the expo will be able to get first-hand information on how they can take advantage and position themselves for current and future career opportunities. The hub will become part of the largest careers and employment event in Melbourne this year, showcasing over 500 careers, ranging from plasterers to property valuers,” said Nicholas Ricciuti CEO of Reinvent Your Career. 

CPSISC CEO Alan Ross said that “attendees will get to experience the innovative Construction and Property Services Hub and meet key industry people who will assist with understanding the careers roadmap and accessing employers to help reposition their career.”

The Melbourne Reinvent Your Career Expo will be held on the 21^st and 22^nd of June 2014 at the Melbourne Convention and Exhibition Centre, from 10am to 4pm each day. Tickets are available at the door or online for $10 for a day pass or $15 for a two day pass, under 18 are free.

For more information please visit www.reinventyourcareer.com.au

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THE Victoria Events Industry Council (VEIC) has praised the announcement that Melbourne will host a rugby league State of Origin match in 2015, for the significant benefit it will bring to Victoria’s tourism industry.

The match reportedly has the potential to bring $20 million to Melbourne and VEIC Chief Executive Dianne Smith says business across the industry will reap the rewards.

“It will be wonderful to have State of Origin at the MCG again for the first time since 1997,” says Ms Smith.

“There will be significant flow-on benefits throughout the economy to hotels, restaurants and visitor attractions from the Victorian and interstate visitors coming to enjoy the match and experience what our great state has to offer.

“This reinforces Melbourne’s credentials as a global leader for sporting events and complements a rich calendar of events across a range of sectors.

“In the past State of Origin has played host to sell-out crowds of up to 100,000 fans, so we look forward to people getting behind it once again.” 

Ms Smith says Melbourne will be showcased nationally as four million television viewers around Australia reportedly watched last week’s match.

Victorian rugby will also benefit, as the event will enhance the reputation of local team, Melbourne Storm, and grow the popularity of the game throughout the state.

www.vtic.com.au

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